Even with the extended economic outlook over the past few years, the majority of Americans (55 percent) remain pessimistic about whether their financial futures will improve during 2019, according to a new report issued this week by Bankrate.com.

The report comes after a December which — although it included high levels of spending during the holidays — also saw historic volatility in markets and the start of a partial government shutdown that has so far dragged on for weeks. For many people, this all adds up to economic uncertainty.

According to Bankrate’s study, more than half of Americans think their situation will not substantially improve, and a few think it will deteriorate.

Bill Moak(Photo11: Sarah Warnock/Clarion Ledger)

About half of those pessimistic about their outlook, nearly half blame the political gridlock in Washington. Other reasons for gloom include rising costs of everyday necessities; rising interest rates and decreased paychecks.

But it’s not all negative news. About 44 percent of Americans say they believe things will improve, led by millennials (including those 18-37 years of age). More than 60 percent of millennials see a rosier future ahead, while their parents are significantly less certain. That would probably get better, most experts believe, if we all saved more and kept our spending in check.

“Regardless of whether or not one is upbeat on financial prospects for the coming year, the fact is that more Americans need to make savings a priority,” said Bankrate.com senior economic analyst Mark Hamrick. “Too many are living paycheck-to-paycheck, even at a time when the economy has been broadly judged to be doing well. Savings rates continue to tick up, so now is a great time to shop around for a place to park, and add to, that emergency fund."

Encouragingly, Bankrate noted, about nine in 10 Americans have at least one financial goal for 2019. Three in 10 said their main financial goal is to pay down debt, followed by better budgeting, saving more money for retirement and emergencies, getting a higher-paying job, investing more and buying a new home.

On the flip side, about 10 percent of Americans have no specific financial goals. Additionally, those aged 54 years and older were nearly three times as likely to indicate they don’t have a financial goal this year as those who are younger.

“While paying down debt was the financial priority cited most frequently across all income brackets — especially those in the $50K to $74.9K range,” the report noted, “the highest earners ($75K+ annually) were more likely than the rest to say their main financial goal is to save more money for retirement. Lower-middle income households ($30K-$49.9K) cited saving for emergencies as a top priority more than anyone else.”

As with a New Year’s resolution, goals can be a double-edged sword. If your goals are too audacious, you can set yourself up for failure. Instead, most financial experts say, set yourself some small, achievable goals, such as putting away $500 in the bank. Once you’ve done that and established some good habits in the process, move on to bigger goals. Each goal you meet will give you more confidence and skill so your chance of success is higher.

There’s a handy acronym I often use when I teach students about planning. The SMART formula helps you during the goal setting process. SMART stands for goals that are Specific, Measurable, Achievable, Realistic and Time-Linked.

In setting a goal, asking yourself if your goal meets these five elements can help you set goals you can reach, and could make the difference between whether the future you envision is gloomy or bright.